McDonald’s (NYSE:MCD) Earns “Buy” Rating from TD Cowen

TD Cowen reaffirmed their buy rating on shares of McDonald’s (NYSE:MCD) in a research note released on Tuesday morning, Benzinga reports. The brokerage currently has a $305.00 price target on the fast-food giant’s stock.

Several other brokerages have also recently commented on MCD. Stifel Nicolaus decreased their target price on shares of McDonald’s from $315.00 to $300.00 and set a hold rating for the company in a report on Thursday, April 11th. Barclays cut their target price on shares of McDonald’s from $343.00 to $340.00 and set an overweight rating on the stock in a research note on Tuesday, February 6th. Stephens reaffirmed an overweight rating and issued a $320.00 target price on shares of McDonald’s in a research report on Monday, February 5th. Truist Financial lowered their price target on McDonald’s from $345.00 to $340.00 and set a buy rating on the stock in a report on Tuesday, February 6th. Finally, Bank of America raised their price objective on McDonald’s from $291.00 to $341.00 and gave the stock a neutral rating in a research report on Monday, January 29th. Nine research analysts have rated the stock with a hold rating and twenty have given a buy rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of Moderate Buy and an average target price of $317.74.

McDonald’s Stock Performance

NYSE:MCD opened at $270.32 on Tuesday. McDonald’s has a 1 year low of $245.73 and a 1 year high of $302.39. The stock has a market cap of $194.90 billion, a price-to-earnings ratio of 22.95, a PEG ratio of 2.95 and a beta of 0.71. The business has a fifty day moving average of $280.07 and a 200-day moving average of $282.21.

McDonald’s (NYSE:MCD) last issued its quarterly earnings results on Tuesday, April 30th. The fast-food giant reported $2.70 earnings per share for the quarter, missing analysts’ consensus estimates of $2.71 by ($0.01). McDonald’s had a net margin of 33.36% and a negative return on equity of 180.54%. The business had revenue of $6.17 billion during the quarter, compared to analyst estimates of $6.16 billion. During the same period in the previous year, the company posted $2.63 earnings per share. McDonald’s’s revenue was up 4.6% compared to the same quarter last year. On average, equities research analysts predict that McDonald’s will post 12.18 EPS for the current year.

McDonald’s Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, March 15th. Investors of record on Friday, March 1st were given a $1.67 dividend. The ex-dividend date of this dividend was Thursday, February 29th. This represents a $6.68 annualized dividend and a yield of 2.47%. McDonald’s’s dividend payout ratio (DPR) is currently 56.71%.

Insider Buying and Selling

In related news, insider Joseph M. Erlinger sold 1,098 shares of the firm’s stock in a transaction on Tuesday, April 23rd. The stock was sold at an average price of $276.64, for a total value of $303,750.72. Following the completion of the transaction, the insider now directly owns 16,977 shares of the company’s stock, valued at $4,696,517.28. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In other McDonald’s news, insider Joseph M. Erlinger sold 1,099 shares of McDonald’s stock in a transaction on Friday, March 22nd. The stock was sold at an average price of $284.38, for a total transaction of $312,533.62. Following the completion of the transaction, the insider now directly owns 18,075 shares of the company’s stock, valued at $5,140,168.50. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Joseph M. Erlinger sold 1,098 shares of McDonald’s stock in a transaction on Tuesday, April 23rd. The shares were sold at an average price of $276.64, for a total value of $303,750.72. Following the transaction, the insider now directly owns 16,977 shares of the company’s stock, valued at $4,696,517.28. The disclosure for this sale can be found here. 0.23% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Vicus Capital acquired a new stake in McDonald’s in the third quarter worth about $306,000. Kingswood Wealth Advisors LLC increased its position in McDonald’s by 74.6% in the third quarter. Kingswood Wealth Advisors LLC now owns 3,328 shares of the fast-food giant’s stock worth $877,000 after purchasing an additional 1,422 shares during the period. Pinnacle Associates Ltd. increased its position in McDonald’s by 0.8% in the third quarter. Pinnacle Associates Ltd. now owns 53,761 shares of the fast-food giant’s stock worth $14,163,000 after purchasing an additional 402 shares during the period. Clear Creek Financial Management LLC increased its position in McDonald’s by 31.8% in the third quarter. Clear Creek Financial Management LLC now owns 1,566 shares of the fast-food giant’s stock worth $412,000 after purchasing an additional 378 shares during the period. Finally, Financial Management Network Inc. increased its position in McDonald’s by 9.8% in the third quarter. Financial Management Network Inc. now owns 5,015 shares of the fast-food giant’s stock worth $1,283,000 after purchasing an additional 447 shares during the period. 70.29% of the stock is owned by institutional investors.

About McDonald’s

McDonald's Corporation operates and franchises restaurants under the McDonald's brand in the United States and internationally. It offers food and beverages, including hamburgers and cheeseburgers, various chicken sandwiches, fries, shakes, desserts, sundaes, cookies, pies, soft drinks, coffee, and other beverages; and full or limited breakfast, as well as sells various other products during limited-time promotions.